- Metaplanet plans to raise $3.7B via perpetual preferred shares to accelerate its Bitcoin acquisition strategy.
- The company aims to hold 210,000 BTC by 2027, following a recent purchase of 780 BTC, bringing current holdings to over 17,000.
- Shares fell over 7% on the announcement, reflecting investor caution toward the capital-intensive approach.
Metaplanet, the Tokyo-based firm, is once again rocking the global crypto industry with a daring plan to raise nearly $3.7 billion through the issuance of perpetual preferred shares, as it attempts to supercharge its already aggressive plans to accumulate Bitcoin
The latest proposal, subject to approval at an upcoming shareholder vote, is an abrupt boost in Metaplanet’s crypto ambitions. The capital raise would likely facilitate yet another sizeable Bitcoin purchase, further cementing its position as one of the globe’s top corporate BTC holdings.
The announcement comes on the heels of Metaplanet’s latest acquisition of 780 BTC, pushing holdings past 17,000 coins, valued at approximately $1.7 billion at today’s rate. The company is far from done with it, either. Its long-term planning is aggressive: it aims to accumulate 210,000 BTC by December 2027.
Also Read | Metaplanet Buys 780 More Bitcoin: Japan’s BTC Treasury Now Tops $1.7 Billion
Metaplanet Stock Falls 7% on Bold Bitcoin Strategy
The industry reaction was immediate and divided. The shares of Metaplanet fell by more than 7% on the announcement, showing some concern among investors in the capital-intensive approach.
However, the shares remain materially higher year-to-date on the back of good retail and institutional demand for the company’s crypto-first strategy. The majority of long-term investors view the move as a calculated bet on the future institutionalization of Bitcoin.
At the core of it is Metaplanet’s unconventional issuance of perpetual preferred shares, an underused capital-raising vehicle in modern corporate finance. These securities provide perpetual sources of capital access and pay fixed dividends, and as such, have appeal amongst income-driven investors.
More importantly, this method allows the firm to access capital without diluting common stockholders or relying on volatile operating income.
Since the BTC treasury is greater than Tesla’s and Galaxy Digital’s combined, Metaplanet’s ascent is redefining the possibilities of 2020s corporate Bitcoin adoption. Unlike businesses utilizing Bitcoin as a store of value or reserve asset, the firm appears determined to be an institutional player in the crypto sphere.
If the capital raise did appear as planned, industry pundits foresaw a huge marketplace shakeout, initially of the direct BTC holdings of the firm, more notably, however, the larger signal it sends to corporate treasuries everywhere: that Bitcoin is more than a bet, it is a long-term strategic anchor.
Also Read | Metaplanet Expands Bitcoin Holdings With 797 Bitcoin Purchase as BTC Hits All-Time High
